Cotton futures further slipped Wednesday in New york, in anticipation of larger arrivals at physical markets. Polyester prices were left unchanged in China where firmer demand for filament yarns is being reported.

Cotton futures sharply declined yesterday in New York with December falling 1.08 cent to 54.29 cents.

After surging in the past week, the market is now nearly back to its level three weeks ago.

Speculative funds are now expected larger quantities to flood the global market, as harvests are in full operation in the Northern Hemisphere.

Physical prices also declined, after New York's futures already decreased on Monday and Tuesday. The "A" fell 0.45 cent to 58.60 cents per pound, losing more than one cent in only two days after nearly reaching 60 cents on Monday.

Import prices were also lower in Asia with US and Australian qualities down 0.50 cent per pound. Indian and West African cotton fibers did not decline, nevertheless.

Lower prices in Pakistan
Prices did not change on Chinese spot markets with the 328 grade staying at 14,296 yuan per ton.

China's cotton output would be 14 percent lower this season to 5.4-5.5 million tons, the China Cotton Association said.

This is possibly enough to support prices in China and elsewhere in coming weeks.

In Pakistan, cotton prices were down after larger quantities of seed cotton than expected arrived at ginneries in the two-week period to 15 October.

KCA's indicator fell 35 rupees to 2,350 rupees per maund of 37.32 kilos.

Quantities of available raw cotton doubled compared with the previous fortnight but were sharply lower in Punjab from the same period last year.

Unchanged polyester prices
Polyester prices were today unchanged in China.

Demand for filament yarns was stronger than yesterday while the PSF market remained extremely weak.

Raw material costs did not vary on Asia's market.

The price for paraxylene was supported by a bid from BP at US$950 per ton. PX price would stabilize in the coming days at US$985-990 per ton CFR Taiwan.

emergingtextiles.com